Overview

• Infosys share price fell 5.66% to Rs. 1,170.40, hitting a 52-week low of Rs. 1,167.70 after weak guidance.

• Infosys Q4 performance was strong with revenue at Rs. 46,402 crore and profit at Rs. 8,501 crore, but failed to support sentiment.

• FY27 revenue growth guidance of 1.5%-3.5% and a deal value drop to $3.2 billion drove the sell-off.

Infosys share price is down 5.66% at press time, trading at Rs. 1,170.40. The fall comes after a weak market reaction to its latest earnings and cautious future outlook. The stock opened at Rs. 1,200 and slipped to an intraday low of Rs. 1,167.70, which is also its 52-week low. Infosys stock is now far below its 52-week high of Rs. 1,728, showing how sentiment has weakened in recent sessions.

Here is an in-depth analysis of Infosys share price, based on Moneycontrol data.

Reasonable Valuation but Heavy Volumes Signal Panic Selling

The previous close stood at Rs. 1,240.60, which means today’s decline is huge in both percentage and price terms. Over 2 crore Infosys shares were traded at the time of writing for a value of over Rs. 2,45,000 lakhs. The VWAP is at Rs. 1,193.76, which is above the current price, showing continued selling pressure.

Infosys share price chart on Moneycontrol shows a loss of 5.74% during the afternoon hours:

Despite the sharp fall, the stock’s valuation still looks reasonable. Infosys share price is trading at a price-to-earnings (P/E) ratio of 16.98, which is lower than the sector average of 24.81. Its earnings per share (EPS) are at 68.97, showing steady growth of about 7% year-on-year.

The company also offers a dividend yield of 3.67%, which may support the stock on declines. The market capitalization of Infosys is Rs. 4.74 lakh crore, making it one of the top IT companies in India. 

Muted Guidance Dampens Investor Sentiments

The main reason for the decline is the company’s muted growth guidance. Infosys expects revenue growth of only 1.5% to 3.5% for FY27. It signals a slow demand environment. However, the company’s Q4 results were good with revenue at Rs. 46,402 crore.

The Indian tech giant reported a net profit of Rs. 8,501 crore. Despite the strong earnings, investors are more focused on future growth. Infosys’ deal momentum also slowed. Large deal value fell to $3.2 billion from $4.8 billion in the previous quarter.

Also Read: Netflix Drops $72B Deal, Expands $25B Buyback as $20B Content Plan Drives Growth

Brokerages Split: ‘Buy’ Calls Stay, but Caution Rises

Brokerages have given mixed views after the results. Motilal Oswal is positive and has kept a ‘Buy’ rating with a target price of Rs. 1,450. However, it has slightly reduced its earnings estimates due to slower growth.

HDFC Securities also continues to recommend buying the stock and has set a higher target of Rs. 1,550. It did, however, note the weaker-than-expected growth and slower client decisions.

On the other hand, Citi has taken a more cautious view, maintaining a ‘Neutral’ rating. The global financial services firm has lowered its target to Rs. 1,300 due to softer revenue and margin outlook. Jefferies has kept a ‘Hold’ rating with a target of Rs. 1,235. It pointed to weak guidance and lower deal wins as key concerns.

Overall, analyst sentiment is still tilted toward the positive side. Around 55% of analysts on Moneycontrol suggested buying the stock. This shows that while near-term challenges exist, long-term confidence in Infosys shares remains intact.

Also Read: Trent Shares Fall 2.46% Despite Strong Q4 Results; Citi Issues ‘Sell’ Call, Goldman ‘Neutral’

Investor Outlook

The stock is trading close to key support levels. The lower circuit limit is at Rs. 1,116.60, while immediate resistance is seen near Rs. 1,262. Short-term movement will likely depend on how investors react to the company’s growth outlook and broader IT sector trends. However, reasonable valuation, steady earnings, and long-term demand for IT services could help the stock stabilize over time.

FAQs

1. What is Infosys share price today?

Infosys share price is currently around Rs. 1,170.40, down 5.66% for the day. The stock opened at Rs. 1,200 and dropped to an intraday low of Rs. 1,167.70, which is also its 52-week low. This sharp fall reflects weak investor sentiment after the company’s latest earnings and future guidance. The stock is now significantly below its 52-week high of Rs. 1,728.

2. Why did Infosys shares fall?

Infosys share price declined mainly due to its weak growth outlook for FY27. The company guided for revenue growth of only 1.5% to 3.5%, which is lower than market expectations. Even though Q4 results were strong, investors focused more on future demand. Slower deal wins and cautious management commentary also added to the selling pressure in the stock.

3. How were Infosys Q4 results?

Infosys reported strong Q4 results with revenue at Rs. 46,402 crore, showing steady growth year-on-year. Net profit came in at Rs. 8,501 crore, which was also higher compared to last year. However, despite these good numbers, the stock reacted negatively. This is because investors are more concerned about future growth rather than past performance in the current market environment.

4. What are brokerages saying about Infosys stock?

Brokerages have mixed views on Infosys after the results. Motilal Oswal and HDFC Securities have maintained ‘Buy’ ratings with targets of Rs. 1,450 and Rs. 1,550, showing long-term confidence. On the other hand, Citi has a ‘Neutral’ rating with a Rs. 1,300 target, while Jefferies has a ‘Hold’ rating at Rs. 1,235. This shows divided views on near-term growth.

5. Is Infosys stock a good buy?

Infosys stock is trading at a P/E of 16.98, which is lower than the sector average, making it reasonably valued. It also offers a dividend yield of 3.67%, which may attract long-term investors. However, near-term risks remain due to weak growth guidance and slower deal momentum. Investors may need to watch how demand trends improve before expecting strong upside.